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Monday, April 13, 2009

Money lost... and found! Again!

So, not so much money found, but money not spent. With the sale of my condo last year to get me through college these next few years, I expected to pay about 30 large for capital gains tax. I picked up my taxes from the accounting firm today and in looking at the return, I noticed that our liability was only $9k. Wow!

I signed the return, paid the receptionist, and left. I called the wife from downstairs to tell her the good news and she said I should go back and find out from the receptionist why this huge disparity.

She told me that when I had a renter in the condo, the wife and I were making a more money than we could write off on the condo for depreciation, but now that we're down to a single-income family, we can now take the depreciation on the condo, offsetting the capital gains taxes.

Happy Day!!!

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